CFA Practice Question

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CFA Practice Question

Elias is a risk-averse investor. David is a less risk-averse investor than Elias. Therefore, ______

A) for the same risk, David requires a higher rate of return than Elias.
B) for the same return, Elias tolerates higher risk than David.
C) for the same risk, Elias requires a lower rate of return than David.
D) for the same return, David tolerates higher risk than Elias.
Correct Answer: D

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